The Product Flow Model

We observed a new approach being adopted in the software industry that combines a business model with strong technical support. This Product Flow Model combines aspects of the Product Line model with workflow concepts for virtual enterprises. The Product Flow Model (PFM) addresses the costly ongoing maintenance of major products being delivered to customers. When such maintenance is provided by internal information technology (IT) operations for software then little overall lifetime cost reduction has been achieved by reduced software acquisition costs, since maintenance consumes 70 to 90% of total lifetime software costs. A software supplier operating according to PFM also provides the ongoing maintenance to the customer. In order service the customer effectively there must be an effective information flow expressing the needs of the customer to the software supplier. We perceive three classes of needs, leading to corrective, adaptive, and perfective maintenance. Software supplier that operate within the PFM can be assured of substantial continuing income and great customer loyalty. We will elaborate both on the information flow and on technologies needed to be successful in PFM services.